Legal Issues and Gold

Not in our home state of
Arizona. Therefore, purchases from Onlygold.com are free of sales taxes.

Are gold bullion coins legal
tender ?

Yes,
most of them are. This nominal face value allows them to travel across
national borders without the taxation or fees imposed by many countries
on bullion itself.

Do bullion coins come with a certificate of
authenticity ?

Yes, a maker's mark
and statement of weight and fineness is stamped directly onto gold
bullion, whether coins or ingots. The bullion itself, in effect, bears
its own 'certificate' from whichever Mint or refiner produced it.
Fortunately, gold is an element with a unique specific gravity, and
other attributes which make it very easy to test for authenticity. The
ancient Egyptians pioneered the 'acid test' for gold, and any jeweler,
pawnbroker, or high school chemistry teacher can demonstrate the basics
of gold.

Are there counterfeit gold
coins ?

Yes, over the
centuries, crude copies of gold coins have been made. But because of
gold's unique density (only platinum is as heavy), these copies are not
very convincing. Once you hold a real gold coin in your hand, and you
feel the heft and density of it, you realize that gold is simply hard to
imitate. Of course, we recommend that you know your supplier when buying
gold, just as you would with anything of real value.

Was gold illegal to own at one
time ?

Yes,
in this country, from 1933 to 1974 it was illegal for U.S. citizens to
own gold in the form of gold bullion, without a special license. On
January 1, 1975, these restrictions were lifted and gold can now be
freely held in the U. S. without any licensing or restrictions of any
kind.

When were gold restrictions
lifted ?

December 31, 1974
ended the era of private U.S. gold ownership restrictions which had
begun in 1933. As of January 1, 1975, U.S. citizens were again free to
own gold in any form, including bullion, and in any amount that they can
afford, without restrictions or any federal ‘reporting’ of those
holdings.

Is there any limit on how much gold I can
own ?

No, there are no restrictions on private gold ownership in the United
States. You are limited only by your budget and common sense.

Do you report my gold purchases to the Government or
any one else ?

Emphatically NO!
Any business you do with us is absolutely private, and we take
extraordinary steps to make sure your business with us is private and
confidential. Also, we are under no obligation to report your gold
purchases to any government agency. Nothing is stronger than our
client's trust that the business they do with us will never be revealed
to anyone. We would love to publish the testimonies of some of our
well-known clients, but their gold ownership is, for obvious reasons, a
very private thing.
See our page: How
we are different from other national firms that sell gold
coins

Aren't
transactions of $10,000 or more reported to the government ?

Only if they involve actual currency, i.e., a suitcase full of $100
bills, or cash instruments such as multiple cashiers checks which are
smaller than $10,000 each but total over $10,000. There is no report, or
registration, or any such paperwork on transactions involving single
checks or bankwires of whatever size. Currency regulations involving
amounts of over $10,000 were designed to thwart money launderers and
drug dealers. This is a common area of misunderstanding, but the bottom
line is that there is no report made on ordinary transactions of any
size, paid with a check or bankwire.

If
I sell gold to you, is that
reported ?

Certain forms of gold which traded as
commodity contracts in 1982 fall under the Broker Reporting Act of 1982.
Specifically named are South African Krugerrands, Canadian Maple Leafs,
and Mexican gold Onzas in quantities of 25 ounces ( one 'contract') or
more. Sales of these items in contract quantities require a 1099B IRS
information form, reporting the sale of a regulated commodity contract.

Do I have to report my gold coin purchases to the
Government ?

No,
there is no branch of federal, state, or local government that is
interested in how much gold you might own. The U.S. Mint, a division of
the Treasury Department, strikes the gold Eagle bullion coins, and
supports their sale with national advertising, sales brochures, gift
boxes, and so on, but in the fifteen years that we've sold their
product, they have never asked us to keep track of who is buying
it.

Do I have to pay taxes if I sell my gold bullion
coins for a profit ?

If
you hold gold as an investment, and later sell it at a profit, you will
have either a long-term or short-term taxable gain, just as you would
with any other investment.

Onlygold did business at the same location for more than sixteen
years. CMI Gold & Silver Inc. has done business from three locations in Phoenix since 1973.

Both firms are Accredited Businesses with the Better Business Bureau,
and neither firm has had a complaint filed with the BBB—ever!

In addition to having really strong
bids on gold, silver, platinum, and palladium in coin and bullion form, we also purchase a wide range
of numismatic coins. We have especially strong bids for old US gold coins.